Brokerage Views: Citi On Sun Pharma, Nomura On CarTade Tech, Jefferies On Bharat Electronics And More

Sun Pharmaceutical Industries Ltd., CarTade Tech Ltd., Bharat Electronics Ltd., and Federal Bank Ltd. will be among the top names to watch out for as analysts changed their outlook following their second-quarter earnings. Sun Pharma's consolidated net profit rose in the second quarter of the current financial year, meeting analysts' estimates. Bharat Electronics' net profit increased 38.4% year-on-year to Rs 1,092.8 crore for the quarter-ended Sept. 30, 2024.NDTV Profit tracks what the brokerages are putting out on stocks and sectors. Here are all the top calls from analysts you need to know about on Tuesday. .Maintained 'buy' with a target price of Rs 2,080 per share, implying an upside potential of 9.4% from the previous close. Commentary on specialty continues to remain positive. Front-loading of spending shows the company's confidence on launching Leqselvi in the short term.Generic business expected to see traction with launches. Earnings show resilience compared to major peers.It has minimal reliance on non-recurring generic products..The brokerage upgraded its rating to 'buy' from 'add', with a target price of Rs 2,300 per share from the earlier Rs 1,900 apiece. This implies an upside potential of 21% from the previous close. Superior execution in global specialty sales. India segment likely to witness volume-led growth across therapies.US market will continue to be driven by specialty business.Raised earnings estimates for fiscal 2025-26 by superior execution in global specialty sales and improvement in profitability due to lower R&D expense. .Sun Pharma Share Price Rises As Analysts Find Q2 Earnings More Resilient Than Peers.Retained 'buy' with a target price of Rs 1,278 per share from Rs 1,042 apiece earlier, an upside of 22% from the previous close. Remains a key beneficiary of slowing auto sales. Management expects stronger revenue growth for OLX, led by multiple initiatives. Auto (45% of revenues) will be the key focus area in the near-term and non-auto will be a longer term driver. Nomura maintain ~20% revenue CAGR through fiscal 2024-27 for consumer business. Led by higher spending by carmakers/dealers, given high new vehicle inventory. .The brokerage retained 'buy' with a target price of Rs 1,232 per share from Rs 1,075 earlier, an upside of 18% from the previous close. Standalone consumer business saw sustained organic traffic and revenue growth accelerated up 23% year-on-year. Robust consumer traffic trends up 20%, cost-controls across the three verticals. Raises multiple raised for standalone business to 42 times given growth acceleration. Remarketing business multiple raised to 15 times enterprise value to adjusted Ebitda versus 12 times earlier. .Slow Auto Sales To Augur Well For This Used Car Player — Stock Target Price Hiked.Citi retained 'buy' on Indian Oil and reduced target to Rs 190 from Rs 205 per share earlier, a 30.4% upside from previous close. Earnings missing estimates was not surprising given challenges faced by peers. Second quarter net income was Rs 3,700 crore below estimate despite benefit from exception gain. GRMs have bottomed out as benchmark is trading higher, brokerage said. Lower fiscal 2025 and 26 Ebitda estimates by 11% and 7% due to first half performance. Expects underlying factors to see sharp recovery in second half of the fiscal. .Nuvama retained 'reduce' with a target price of Rs 135 target, a 7.4% downside from the previous close.Second quarter Ebitda fell 56% sequentially and missed estimates by 62%. Earnings impacted by weak GRM, LPG loss of Rs 3,700 crore. Peak earnings are behind, with further deterioration underway, the brokerage said. Valuations remain expensive and unsupportive of peak earnings. Risk reward is unfavourable. .The brokerage maintained 'buy' with a target price of Rs 370 per share, a 36% upside from the previous close. Margin strength gives confidence on profitability sustaining. Annual order flow of Rs 20,000-25,000 crore remains sustainable over medium term. Exports mix to rise to 10% by fiscal 2030 versus 3-4% in fiscal 2024, the brokerage said. Expects stock re-rating as orders and earnings come through. .Bharat Electronics' Target Price Hiked By Jefferies As Q2 Ebitda Beats Estimates.Citi maintained 'buy' with a target price of Rs 1,655 per share, an upside of 13.4% from the previous close. Delivered better-than-expected performance in the second quarter. India mobile ARPU rose 11% sequentially from Rs 205 to Rs 228. Subscriber base declined by 0.5m to 27.1m following the tariff hike. Net debt/Ebitda improved slightly from 2.07 times to 2.03 times. Return on capital employed improved sequentially from 13.2% to 15.5%. .The brokerage maintained 'buy' with a target price of Rs 231 per share, implying an upside of 23% from the previous close. Return on assets of 1.28% beat Citi's, supported by 30 bps credit cost. Secured lending dominance helped curtail slippages/credit cost. New managing director and chief executive officer's strategy is a key monitorable. Estimates 1.2-1.3% return of assets and 13-14% return of equity over fiscal 2025-27 with 15-17% credit growth. .Federal Bank Share Price Jumps Most In Four Months As Asset Quality Remains Intact

Brokerage Views: Citi On Sun Pharma, Nomura On CarTade Tech, Jefferies On Bharat Electronics And More

Here are all the top calls from analysts you need to know about on Tuesday.

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